Program Changes

Effective April 1, 2026

What is changing?

Energy Storage Solutions offers two types of incentives:

  • Upfront incentives help reduce the upfront cost of installing a battery system. In exchange, the customer’s battery is programmed to discharge on a set schedule each summer for 10 years.
  • Performance-based incentives are paid to customers twice annually based on their performance during individual discharge events that help reduce demand on the electric grid. There are approximately 50 events in the summer and 5 in the winter.
 

Beginning April 1, newly approved customers will no longer be enrolled in Passive Dispatch. Updated incentive rates are listed below.

Why is the Program changing?

Energy Storage Solutions is designed to provide cost savings and emissions reduction benefits to all ratepayers – not just those who install batteries. This is accomplished by coordinating all enrolled batteries to send energy to the grid during the hottest summer days and coldest winter days.

As a result, Eversource and UI don’t need to purchase energy from expensive, dirty “peaker” power plants which helps everyone on the grid

We want to ensure that these limited ratepayer funds only to go the highest-performing batteries.

When do these changes take place?

The new incentive structure applies to all customers who submit an enrollment application (via their Eligible Contractor) on or after April 1, 2026.

Some customers may see this new incentive structure reflected on their sales contract before April 1.

Will this change what contractors or batteries qualify?

No, the Eligible Contractor and Eligible Equipment lists are unchanged.

How do the old and new Program designs compare?

The new Program design is similar to the old structure, but more heavily weighted on the ten-year performance incentive. This means less incentive value upfront, but potentially more value overall based on your battery’s performance.

Incentive Comparison for Homes

Here is a comparison of the incentives for a 20 kW / 30 kWh battery system for the three different residential customer classes:

  Current Program Design New Program Design
Customer Type Upfront Performance Enrollment Performance
Standard $6,375 or $9,563* $11,627 $900 or $3,900* $18,000
Underserved** $13,500 or $16,000* $11,627 $900 or $3,900* $27,000
Low Income $16,000 $11,627 $900 or $3,900* $33,000
*Denotes “Grid-Edge” customers who experience more frequent power outages than average. (Eversource Map) (UI Map) **Underserved Communities are defined by the Department of Economic and Community Development (List)

incentive comparison for buildings

Here is a comparison of the incentives for a 1.9 MW / 3.7 MWh battery system for the three different commercial customer classes:

Current Program Design New Program Design
Customer Annual Peak Demand Upfront Performance Enrollment Performance
0 to 200 kW $518,473 or $648,091* $1,437,152 $37,080* $2,028,233
201 to 500 kW $405,678 or $507,098* $1,437,152 $0 or $37,080* $2,028,233
501 kW + $337,428 or $421,785* $1,437,152 $0 or $37,080* $1,816,602
*Denotes “Priority” commercial customer (See Program Manual (1/27/26) Sec. 6.1)

Incentive Rates

New Program Design – Enrollment Incentive Rates
Customer Class Enrollment Incentive
C&I – Standard N/A
C&I – Priority* $10/kWh
Residential - Standard $30/kW
Residential – Grid Edge** $130/kW
*See Program Manual (1/27/26) Sec. 6.1) **“Grid-Edge” customers experience more frequent power outages than average. (Eversource Map) (UI Map)
New Program Design - Performance Incentive Rates
Customer Class Years 1 – 5 Years 6 – 10
Small or Medium C&I $325/kW $175/kW
Large C&I $275/kW $175/kW
Standard Residential $300/kW $300/kW
Underserved Residential* $450/kW $450/kW
Low-Income Residential* $550/kW $550/kW
*Applies based on Customer Class at the time of application. Performance incentives are based on average kW-AC contribution during the season, determined by actual system performance during events as indicated by inverter data, not nameplate capacity.

What factors affect my battery’s performance?

Your seasonal performance incentives can be affected by how quickly your battery can recharge from your solar panels (i.e., your solar PV system’s design and weather), and how often you opt-out of individual events. We use actual system performance to estimate the performance incentives listed above.

Which incentive is better?

Until March 31, you can choose if you want to enroll in the “legacy” program structure, or the “new” structure. The legacy structure provides a greater upfront discount, but the new structure gives you the power to participate as much or as little as you want – the better your participation in active dispatch events, the better your seasonal incentive will be. You are in control.

Where can I find out more?

We held a webinar for contractors on January 21. Watch the recording and see the slides here. Talk to an Eligible Contractor about the best option for how you plan to use your battery – and how you plan to pay for it.

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